MDC terminates agreement with Orbital Outfitters

By Trevor Hawes thawes@mrt.com

Published
11:03 pm CST, Saturday, March 10, 2018

FILE PHOTO: Dennis Gilliam with Orbital Outfitters, talks about the new pressure chambers as members of the MDC board tour the Orbital Outfittes facility Friday 01-29-16, watching a demonstration of the pressure chamber and the affect on water in a low pressure atmosphere. The MDC voted unanimously to terminate its agreement with Orbital Outfitters, a space suit startup company headquartered at Midland International Air & Space Port. less

FILE PHOTO: Dennis Gilliam with Orbital Outfitters, talks about the new pressure chambers as members of the MDC board tour the Orbital Outfittes facility Friday 01-29-16, watching a demonstration of the ... more

Photo: Tim Fischer

Photo: Tim Fischer

Image
1of/1

Caption

Close

Image 1 of 1

FILE PHOTO: Dennis Gilliam with Orbital Outfitters, talks about the new pressure chambers as members of the MDC board tour the Orbital Outfittes facility Friday 01-29-16, watching a demonstration of the pressure chamber and the affect on water in a low pressure atmosphere. The MDC voted unanimously to terminate its agreement with Orbital Outfitters, a space suit startup company headquartered at Midland International Air & Space Port. less

FILE PHOTO: Dennis Gilliam with Orbital Outfitters, talks about the new pressure chambers as members of the MDC board tour the Orbital Outfittes facility Friday 01-29-16, watching a demonstration of the ... more

Photo: Tim Fischer

MDC terminates agreement with Orbital Outfitters

1 / 1

Back to Gallery

On Monday, the Midland Development Corp. voted on several items, including a contract amendment with New Teraco, severing ties with Orbital Outfitters and amending its bylaws. Here are the highlights.

— Deal canceled: The MDC voted unanimously to terminate its agreement with Orbital Outfitters, a space suit startup company headquartered at Midland International Air & Space Port. Orbital also was contracted to operate the city’s Midland Altitude Chamber Complex (MACC), used for the testing of equipment before it goes into space.

The MDC offered Orbital a $1 million incentive and spent about $7 million on a facility for Orbital’s headquarters, which included the MACC. After the agreement is terminated, the MDC will take ownership of all of Orbital’s assets, including any intellectual property.

— Deal amended: Gift card manufacturer New Teraco will receive an extension to its agreement made with the MDC in 2015. In exchange for $100,000 to move equipment from its former Illinois facility to Midland, New Teraco agreed to create more jobs and keep 100 employees or more through 2021.

The company has to certify its employment figures with the MDC, and its headcount is below the threshold by about four, MDC Chairman Brent Hilliard said at the meeting. Hilliard told the Reporter-Telegram that New Teraco missing its target is “through no fault of its own,” as the company has lost some employees to the bustling oil industry.

— Bylaw changes: The MDC’s bylaws will have two amendments. The first is the inclusion of a specific statement stating that all actions taken on by the MDC are government functions of the MDC. Second, staff will directly report to the executive director but serve at the pleasure of the board, giving the board more input on staffing decisions.

“We’re trying to get the MDC to function more like the city,” Hilliard said.